Crypto trade Binance revealed a prolonged response to an article revealed by Reuters that claims that the trade has been a “hub for hackers, fraudsters and drug traffickers,” saying that there’s no less than “$2.35 billion in illicit funds” laundered throughout the trade.
In a weblog submit, Binance addressed the problem and famous that the article’s allegations will not be solely unfaithful however are additionally makes an attempt by sure events to “mislead the general public” by spreading disinformation. Binance wrote:
“We highly suggest you ignore those authors and pundits who cherry-pick data, rely on conveniently unverifiable “leaks” from regulators, and feed into the cult of crypto paranoia for fame or financial gain. Instead, just look at the facts.”
The trade additionally identified that conventional finance platforms are extra tainted with illicit funds than crypto, which is clear in nature. Moreover, the trade cited statistics from the United Nations that 2%–5% of fiat cash is related to illicit actions.
Lastly, throughout the weblog submit, Binance revealed its e mail correspondence with Reuters. This consists of Binance’s full responses to Reuter’s inquiries earlier than it revealed the article that criticized Binance.
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On Monday, Reuters revealed a particular report claiming that the Binance trade is concerned in cash laundering involving illicit funds within the billion. From funding fraud and darknet dealings to weak Know Your Customer (KYC) and Anti-Money Laundering protections, the media outlet laid down its critique of the trade.
Back in February, the trade additionally confronted an investigation from the United States Securities and Exchange Commission (SEC) over the trade’s relationship with market-making corporations Sigma Chain AG and Merit Peak, which interact within the shopping for and promoting of digital belongings on the Binance.US trade.